North Carolina Down Payment Assistance Systems

Online Payments - These systems will be the deposit Assistance System along with the Mortgage Credit Certificate.

If you meet the requirements for one of those plans and you buy a house between December 1, 2009 and January 1, 2009, you might also be eligible for the $8,000 tax credit just enacted into law in the Federal Economic Stimulus Plan.

First, who is a first-time Home Buyer? There is a first-time Home Buyer someone who has not owned a house in the prior three years. It is exactly the same qualifying definition for the $8,000 tax credit.

What's a Mortgage Credit Certificate and Who Qualifies?

A Mortgage Credit Certificate (MCC) is a national tax credit to help home buyers with average and low incomes. The MCC takes this a step farther.

You can claim 20% of the interest you pay on your mortgage as a credit on your own federal income taxes, should you qualify for the MCC. You can save around $2,000 on your taxes.

If you do qualify for 2009, for the MCC, you'll manage to combine this with the $8,000 tax credit. This might reduce a buyer's tax liability .

Who Qualifies for an MCC?

Household income is defined as the “gross income of the mortgagor and every other individual expected to reside in the home who is 18 years old or older.”

House price limits that apply in Durham Orange and Chatham Counties and the income are listed below.

MCC Income Limits 1 Man $61,500 2 Persons $61,500 3 Persons $70,500 4 Individuals $70,500

MCC Sales Cost Limitations New Dwelling $220,000 Existing House $210,000

Home buyers that want help with their down payment and closing prices might be able to get down payment assistance - or, quite simply, interest-free, deferred second mortgages up to $8,000. The customer just has to pay and the load would pay as much as .

This program has more stringent income limits than the MCC plan summarized above. Like the MCC program, it can be used in conjunction with all the new $8,000 tax credit on house purchases between January 1, 2009 and December 1, 2009. The down payment help, nevertheless, can not be utilized in combination with the MCC. It is an either or scenario.

House price limitations that apply in Orange, Durham and Chatham Counties and the income are listed below.

Down Payment Assistance Income Limitations

1 Man $39,950 2 Persons $45,650 3 Individuals $51,350 4 Persons $57,050

Down Payment Support Sales Cost Limits New Dwelling $210,000 Existing House $210,000